USDCHF - Daily technical forecast

By IBT Staff Reporter On 02/01/10 AT 4:10 AM

USD/CHF closed higher on Friday and tested the 38% retracement level of the 2008-2009-decline crossing as it extends this month's rally. The high-range close sets the stage for a steady to higher opening on Monday. Stochastics and the RSI are overbought but remain neutral to bullish signalling that sideways to higher prices are possible near-term. If it extends this month's rally, the 50% retracement level of the 2008-2009-dedcine crossing is the next upside target. Closes below the 20-day moving average crossing would confirm that a short-term high has been posted.